Former Hurricane Sandy, which was downgraded just before it made landfall, has slammed into the east coast of the US, creating chaos over a wide area.

The so-called "superstorm", one of the biggest in America's history, has left large parts of lower Manhattan under water, with widespread power cuts and electrical fires.

There are reports of up to 13 storm-related deaths, most of Atlantic City is under water, and a crane is dangling precariously from a skyscraper near Times Square.

Kelly Holt, from Maitland in the Hunter Valley, lived in Manhattan until recently and is back there due to work commitments in the fashion industry.

She's in an East Village apartment very near to the East River, and when 1233 ABC Newcastle's Jill Emberson spoke to her just before the storm hit, she had not yet been evacuated. (listen to attached audio)

"We're pretty much in lockdown at the moment, all the tunnels are closed down, obviously airports are closed down, we're all inside," she said.

"The evacuations have already begun, I'm literally one street away from the main evacuation zone, so anything right on the water has already been evacuated.

"It's pretty surreal, to be honest.

"It's quite strange to be just one street on that border of being evacuated."

Kelly was expecting to be evacuated if the East River broke its banks, so had packed a bag and was ready to leave at any time.

Just before the storm made landfall Kelly said the usually hectic streets of Manhattan were deserted, with gale-force winds keeping people indoors.

She had been due to fly back to Australia this weekend but is unsure when she'll be able to leave the city.

Kelly was also in New York last year when Hurricane Irene was due to hit.

"Everyone was in a panic then, and literally nothing happened," she recalls. "It could go either way."

Shelves in stores throughout the city have been emptied by anxious residents, Kelly says.

"All the canned goods, all the batteries, all the flashlights, everything's literally gone, so that's when it kind of feels very, very surreal."